The upcoming IPO subscription for Moore Threads' successor, Muxi, dubbed the "second domestic GPU stock," highlights the strong growth trajectory of tech-focused new listings this year. These IPOs have demonstrated significant post-listing profitability, directly benefiting investors and boosting market confidence. They also channel more capital toward innovation-driven firms in primary markets while elevating valuations for tech stocks in secondary markets.
Muxi secured approval in just over 100 days from application to IPO clearance. Despite being unprofitable, its cutting-edge tech credentials and high innovation quotient accelerated its listing process. The rapid IPO pace for firms like Moore Threads and Muxi reflects not only the momentum of hard-tech companies but also the maturation of China’s tech-finance ecosystem.
The rollout of the STAR Market’s "1+6" policy package has notably enhanced inclusivity for hard-tech listings. A joint policy initiative by seven agencies, including the Ministry of Science and Technology and the People’s Bank of China, further institutionalized support for tech firms going public. This multi-pronged policy framework has strengthened capital markets’ alignment with and backing for technological innovation.
Post-listing performance underscores robust market endorsement of hard-tech IPOs. Data shows new listings this year delivered an average first-day return of 253%, with zero instances of跌破发行价. Such lucrative IPO gains have enriched retail investors, lifting returns for successful allotment holders.
The stellar debut of tech stocks is reshaping valuation dynamics across primary and secondary markets. High returns are drawing capital toward tech firms, with venture capital and private equity increasingly favoring early-stage, small-cap, and hard-tech investments. Improved funding access enables genuinely innovative firms to secure ample operational capital, enhancing their market entry prospects.
In secondary markets, the profitability of newly listed tech stocks energizes peers and supply chain partners. Valuation gaps emerge when hotly pursued new listings outpace established players, often triggering upward re-ratings for the latter.
IPO proceeds empower tech newcomers to accelerate R&D and competitiveness, potentially driving explosive near-term growth. This, in turn, creates profit opportunities for their ecosystem partners.
Beyond short-term IPO gains, the true prize for value investors lies in post-listing performance inflection points that drive revaluation—particularly for pre-profit hard-tech firms that surpass expectations with market support. Their valuations frequently surge as milestones are achieved.
Tech has been a cornerstone of A-share investment themes this year, with sector revaluations mirroring the market’s shift toward high-quality development. As A-shares’ tech weighting grows, so too will market conviction.
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